An investor receives a cash dividend from an investment with 48% ownership and significant influence.Which journal entry is required?
A) a debit to Cash and a credit to Dividend Revenue
B) a debit to Cash and a credit to Equity-Method Investment
C) a debit to Equity-Method Investment and a credit to Dividend Revenue
D) a memorandum entry only
Correct Answer:
Verified
Q16: A company's investment with insignificant influence has
Q17: Long-term investments include:
A)stocks and bonds that are
Q18: For accounting purposes,the method used to account
Q19: Investments with insignificant influence are reported on
Q20: If 15% of the common stock of
Q22: When an investor owns between 20% and
Q23: Under the equity method of accounting for
Q24: On January 1,2018,Innocente Company purchased 1,000 shares
Q25: If an investor owns between 20% and
Q26: Investments accounted for by the equity method
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